Amara Raja Batteries offers a good buying opportunity for investors

The quarterly result of Amara Raja Batteries, India’s second largest battery maker, has been better than expected, justifying its recent re-rating., says a report. The company’s revenue and net profit for the first quarter of 2012-13 have zoomed up by 32% and 95%, respectively, on a year-on-year basis.

This stellar performance can be attributed to the increased capacity in the automotive segment and increasing demand in the UPS business. Though the rupee depreciation has taken some sheen off the significant fall in prices of lead on the London Metal Exchange (LME), the 5% fall in rupee terms (after adjusting the currency impact) helped the margin expansion, it is reported.